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French Regulators Cooperating on Policing Energy, Carbon Trades
2010-12-10 10:46:56.468 GMT
By Heather Smith
Dec. 10 (Bloomberg) -- France's financial markets and
energy regulators will work together to police trading in energy
emissions quotas and related derivatives for market manipulation
and abuse.
The Autorite des Marches Financiers and Commission de
Regulation de l'Energie will share resources and findings as
they oversee trading in electricity, natural gases, carbon
dioxide and greenhouse gases, representatives of the agencies
said at a press conference announcing the accord today.
Energy trading "is a market that could produce significant
market abuses," said Jean-Pierre Jouyet, president of the AMF.
"As soon as there are derivatives, there is speculation."
France suspended its value-added tax on trades of European
Union carbon dioxide allowances last year because of the risk of
fraud after the Finance Ministry spotted suspicious carbon
trades worth more than 100 million euros. Cooperation and
information sharing between the regulators could speed up how
quickly other market abuses are caught and draw the attention of
authorities to resolve the issue.
"The weight of the AMF could have brought about a more
rapid response" on the tax fraud, Philippe de Ladoucette, CRE
president, said.
The accord makes France the first country in Europe to
begin implementing the European Union's Energy Markets Integrity
and Transparency regulation, the regulators said in a statement.
For Related News and Information:
Today's top power, energy news: PTOP <GO>, ETOP <GO>
Electricity markets home page: VOLT <GO>
Legal Functions: BLAW <GO>
French News: NI FRA <GO>
--Editors: Christopher Scinta, Peter Chapman.
To contact the reporter on this story:
Heather Smith in Paris at +33-1-5365-5064 or
hsmith26@bloomberg.net
To contact the editor responsible for this story:
Anthony Aarons at +44-20-7673-2227 or aaarons@bloomberg.net.
